There is a lot to know and many terms you might not be familiar with. Here is the Break Down to keep you in know of the ABC’s Of Affiliate Marketing.
What is an Affiliate?
There are many Affiliate definitions in the business world, but Im going to stick with what’s relevant in performance-based marketing. An Affiliate is someone who markets a company's products for a commission. The company is then rewarded by customers brought to them by the affiliate's own marketing efforts.
What are the Networks?
The Networks used in Affiliate Marketing are third-party companies that act as channel between the advertisers and publishers. The Networks provide a space for connecting publishers with advertisers along with other perks such as: tracking transactions, hosting ads, helping with payouts between advertisers and publishers, legal compliance. Also many other things depending on the network.
Who is the Merchant?
The Affiliate Merchant is an Advertiser or retailer. They have products to sell or services to promote.They are a businesses that want to increases sales, traffic and brand awareness through online advertising via a network of affiliate websites. Affiliate merchants create ads such as text links, banners and video ads for placement on affiliate websites.
What is an OPM / Outsourced Program Management ?
OPM companies or affiliate management agencies are there to help Merchants start, run and improve their affiliate program. OMPs oversee the day-to-day operations of a program and manage the relationships with networks and affiliates. Hiring an OPM is an alternative way for a Merchant or Advertiser to succeed in performance marketing without attempting to run their program in house. Many times an OPM has negotiated discount launch agreements with networks, speak to HPC Management Inc concerning launching your affiliate program.